Bill Text: IN HB1225 | 2012 | Regular Session | Introduced
Bill Title: Septic tanks and sewer systems.
Spectrum: Slight Partisan Bill (Republican 3-1)
Status: (Engrossed - Dead) 2012-02-01 - First reading: referred to Committee on Energy and Environmental Affairs [HB1225 Detail]
Download: Indiana-2012-HB1225-Introduced.html
Citations Affected: IC 8-1-2-125; IC 13-11-2; IC 13-14-3-3;
IC 13-26; IC 16-20-1-25; IC 36-7-8-3.
Effective: July 1, 2012.
January 9, 2012, read first time and referred to Committee on Environmental Affairs.
Digest Continued
officer to verify the existence of
unlawful conditions that transmit,
generate, or promote disease before ordering their abatement. Provides
that a person who provides false information to a health officer
commits a Class B misdemeanor. Specifies certain systems appurtenant
to private residences to which a county ordinance imposing building
standards does not apply. Makes technical corrections.
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in
Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or
A BILL FOR AN ACT to amend the Indiana Code concerning
environmental law.
(1) does not have shareholders;
(2) does not engage in any activities for the profit of its trustees, directors, incorporators, or members; and
(3) is organized and conducts its affairs for purposes other than the pecuniary gain of its trustees, directors, incorporators, or members.
(b) As used in this section, "sewage disposal system" means all equipment and devices necessary for proper conduction, collection, storage, treatment, and on-site disposal of sewage or other similar waste. The term includes septic tanks, soil absorption systems, holding tanks, cesspools, and privies. The term does not include a
sewer system operated by a not-for-profit public sewer utility.
(c) For purposes of this section, a sewage disposal system is
"failing" if one (1) or more of the following apply:
(1) The system refuses to accept sewage at the rate of design
application and interferes with the normal use of plumbing
fixtures.
(2) Effluent discharge exceeds the absorptive capacity of the
soil into which the system discharges, resulting in ponding,
seepage, or other discharge of the effluent to the ground
surface or to surface waters.
(3) Effluent discharged from the system contaminates a
potable water supply, ground water, or surface waters.
(b) (d) A not-for-profit utility shall be required to furnish reasonably
adequate services and facilities. The charge made by any not-for-profit
utility for any service rendered or to be rendered, either directly or in
connection with the service, must be nondiscriminatory, reasonable,
and just. Each discriminatory, unjust, or unreasonable charge for the
service is prohibited and unlawful.
(c) (e) A reasonable and just charge for water or sewer service
within the meaning of this section is a charge that will produce
sufficient revenue to pay all legal and other necessary expense incident
to the operation of the not-for-profit utility's system, including the
following:
(1) Maintenance and repair costs.
(2) Operating charges.
(3) Interest charges on bonds or other obligations.
(4) Provision for a sinking fund for the liquidation of bonds or
other evidences of indebtedness.
(5) Provision for a debt service reserve for bonds or other
obligations in an amount not to exceed the maximum annual debt
service on the bonds or obligations.
(6) Provision of adequate funds to be used as working capital.
(7) Provision for making extensions and replacements.
(8) The payment of any taxes that may be assessed against the
not-for-profit utility or its property.
The charges must produce an income sufficient to maintain the
not-for-profit utility's property in sound physical and financial
condition to render adequate and efficient service. A rate too low to
meet these requirements is unlawful.
(d) Except as provided in subsection (e), (f) A not-for-profit public
sewer utility may require connection a property within its service
territory producing sewage or similar waste to be connected to its
sewer system of property producing sewage or similar waste and
require the discontinuance of use of privies, cesspools, septic tanks,
and similar structures, a sewage disposal system serving the property
if:
(1) there is an available sanitary sewer within three hundred (300)
feet of the property line; the sewage disposal system is failing;
and
(2) the utility has given provides written notice by certified mail
to the property owner, at the address of provided by the property
owner, at least ninety (90) days before the date for connection
stated in the notice.
The notice must also inform the property owner that the property
may qualify for an exemption as set forth in subsection (g).
(e) A not-for profit sewer utility may not require connection to its
sewer system of property producing sewage or similar waste and
require the discontinuance of use of privies, cesspools, septic tanks,
and similar structures if the source of the waste is more than five
hundred (500) feet from the point of connection to its sewer system.
(g) A property owner that receives a notice under subsection (f)
is exempt from the requirement to discontinue use of a sewage
disposal system and connect to the sewer system if, not more than
twenty (20) days after receiving the notice under subsection (f), the
property owner notifies the not-for-profit public sewer utility in
writing that the sewage disposal system is not failing or that the
property owner intends to repair or replace the sewage disposal
system, as applicable. Upon receipt of notice under this subsection,
the not-for-profit public sewer utility shall suspend the
requirement to discontinue use of the sewage disposal system for
one hundred eighty (180) days, during which the property owner
shall repair or replace the sewage disposal system as needed.
Before the expiration of the one hundred eighty (180) days, the
property owner shall notify the not-for-profit public sewer utility
in writing that:
(1) the sewage disposal system has been repaired or replaced,
as applicable, and is not failing; or
(2) the property owner requires additional time to repair or
replace the system.
A not-for-profit public sewer utility that receives notice under
subdivision (2) may grant the property owner additional time as it
determines proper.
(h) Beginning July 1, 2012, the governing board of a
not-for-profit public sewer utility must be elected by the voters
who receive sewer service from the not-for-profit public sewer
utility within the service territory of the not-for-profit public sewer
utility. If a member of the governing board of a not-for-profit
public sewer utility on July 1, 2012, was not elected to the board,
not later than January 1, 2013, the governing board shall amend its
bylaws to provide for:
(1) the election of all members of the governing board in
accordance with IC 3; and
(2) the transition from a nonelected to an elected governing
board.
For purposes of an election under subdivision (1), the county
legislative officers that represent all or part of a district located
within the service territory of the not-for-profit public sewer utility
shall perform the functions of the election officials.
(i) A property owner who connects to a not-for-profit public
sewer utility's sewer system may provide, at the owner's expense,
labor, equipment, materials, or any combination of labor,
equipment, and materials from any source to accomplish the
connection to the sewer system, subject to inspection and approval
by the governing board of the not-for-profit public sewer utility or
a designee of the board.
(j) This section does not prohibit the state department of health,
a local health department, or a county health officer from
proceeding under IC 16-41-20 to declare a dwelling served by a
sewage disposal system a public nuisance and pursuing all
available remedies.
(1) store;
(2) treat;
(3) make inoffensive; or
(4) dispose of;
human excrement or liquid carrying wastes of a domestic nature.
(1) water supply;
(2) air, water, or wastewater treatment; or
(3) solid waste disposal facilities;
the department
(b) If the facts support the conclusion, the department may order the affected local governmental units to proceed under IC 13-26 to form regional water, sewage, air, or solid waste districts that are necessary under IC 13-26.
(1) the petition should be:
(A) approved;
(B) approved with modifications; or
(C) denied; and
(2) a district should be established.
(b) If the recommendation is in the affirmative, the recommendation must also include recommendations on
(c) The description of the territory to be included in a district may not include territory in a municipality that has, by ordinance or resolution filed with the department, exercised the option not to be included in the district.
(1) complies with the conditions of this chapter for establishment of a district; and
(2) appears capable of accomplishing the purpose or purposes in an economically feasible manner;
the commissioner shall issue an order directing that the district be established as an independent municipal corporation with a name and for the purposes designated in the order.
(b) An order must do the following:
(1) Provide for the selection
(A) For an order issued before July 1, 2012, by election or appointment.
(B) For an order issued after June 30, 2012, by election.
(2) Provide requirements for sufficient bond for all officers, trustees, or employees having power to dispense money of the district.
(3) If an eligible entity with territory in the district has a public water or solid waste sewer system, contain provisions protecting the investments of the entities and protecting the rights of the holders of bonds or other obligations issued to provide money for the system.
(4) Direct the district to file a detailed plan for the initial project of the district not later than nine (9) months after the date of the preliminary order or within a further time that the department from time to time orders.
(c) An order issued before July 1, 2012, is subject to amendment under IC 13-26-4-8.
(1) may provide for the board to be elected by the voters in the district from districts or wards or from the district at large; and
(2) is subject to amendment under section 8 of this chapter.
(b) An order issued after June 30, 2012, establishing a district must provide for the board to be elected by the voters in the district from districts or wards or from the district at large.
(c) Elections and provisions for filling vacancies must be in accordance with IC 3, with the commissioner or the commissioner's designees performing the functions of the election officials.
(b) Instead of electing the board, an order establishing a district may provide for appointments to the board by the elected executive or legislative officers of the eligible entities having territory in the district.
FOLLOWS [EFFECTIVE JULY 1, 2012]: Sec. 4. (a) This section
does not apply to orders issued after June 30, 2012.
(a) (b) If:
(1) a district will include territory in more than one (1) county;
(2) a county executive has filed a petition for a district including
territory owned, leased, or controlled by the department of natural
resources; or
(3) the department of natural resources has filed a petition;
the order establishing the district may provide that the governor
appoints any number of trustees, but less than one-half (1/2) of the
total.
(b) (c) If a district contains or a proposed district will contain a state
correctional facility, the department, when:
(1) issuing an order establishing the district under IC 13-26-2-10;
or
(2) approving or modifying a petition filed by the district's board
of trustees under IC 13-26-1-2;
may allow for the appointment of one (1) member of the board of
trustees of the district by the commissioner of the department of
correction.
(b) If a plan also contemplates that sewage treatment for the district will be provided in cooperation with a municipality, the order must provide that:
(1) at least one (1) trustee shall be appointed by the executive of the municipality; and
(2) at least:
(A) one (1) trustee shall be appointed by the fiscal body; and
(B) one (1) trustee shall be appointed by the executive;
of the county having the largest amount of territory in the district.
(1) is issued before July 1, 2012; and
(2) provides for appointment of at least one (1) trustee.
(b) Not later than June 30, 2014, an order must be amended to provide for:
(1) the election of all trustees in accordance with IC 3, with the commissioner or the commissioner's designees performing the functions of the election officials; and
(2) the transition from appointed to elected trustees.
(1) Sue or be sued.
(2) Make contracts in the exercise of the rights, powers, and duties conferred upon the district.
(3) Adopt and alter a seal and use the seal by causing the seal to be impressed, affixed, reproduced, or otherwise used. However, the failure to affix a seal does not affect the validity of an instrument.
(4) Adopt, amend, and repeal the following:
(A) Bylaws for the administration of the district's affairs.
(B) Rules and regulations for the following:
(i) The control of the administration and operation of the district's service and facilities.
(ii) The exercise of all of the district's rights of ownership.
(5) Construct, acquire, lease, operate, or manage works and obtain rights, easements, licenses, money, contracts, accounts, liens, books, records, maps, or other property, whether real, personal, or mixed, of a person or an eligible entity.
(6) Assume in whole or in part any liability or obligation of:
(A) a person;
(B) a nonprofit water, sewage, or solid waste project system; or
(C) an eligible entity;
including a pledge of part or all of the net revenues of a works to the debt service on outstanding bonds of an entity in whole or in part in the district and including a right on the part of the district to indemnify and protect a contracting party from loss or liability by reason of the failure of the district to perform an agreement assumed by the district or to act or discharge an obligation.
(7) Fix, alter, charge, and collect reasonable rates and other charges in the area served by the district's facilities to every person whose premises are, whether directly or indirectly, supplied with water or provided with sewage or solid waste services by the facilities for the purpose of providing for the following:
(A) The payment of the expenses of the district.
(B) The construction, acquisition, improvement, extension, repair, maintenance, and operation of the district's facilities and properties.
(C) The payment of principal or interest on the district's obligations.
(D) To fulfill the terms of agreements made with:
(i) the purchasers or holders of any obligations; or
(ii) a person or an eligible entity.
(8)
However, a district may not require the owner of a property described in this subdivision to connect to the district's sewer system if the property is already connected to a sewer system that has received an NPDES permit and has been determined to be functioning satisfactorily.
(9) Provide by ordinance for reasonable penalties for failure to connect when connection is required and also apply to the circuit or superior court of the county in which the property is located for an order to force connection, with the cost of the action, including reasonable attorney's fees of the district, to be assessed by the court against the property owner in the action.
(10) Refuse the services of the district's facilities if the rates or
other charges are not paid by the user.
(11) Control and supervise all property, works, easements,
licenses, money, contracts, accounts, liens, books, records, maps,
or other property rights and interests conveyed, delivered,
transferred, or assigned to the district.
(12) Construct, acquire by purchase or otherwise, operate, lease,
preserve, and maintain works considered necessary to accomplish
the purposes of the district's establishment within or outside the
district and enter into contracts for the operation of works owned,
leased, or held by another entity, whether public or private.
(13) Hold, encumber, control, acquire by donation, purchase, or
condemnation, construct, own, lease as lessee or lessor, use, and
sell interests in real and personal property or franchises within or
outside the district for:
(A) the location or protection of works;
(B) the relocation of buildings, structures, and improvements
situated on land required by the district or for any other
necessary purpose; or
(C) obtaining or storing material to be used in constructing and
maintaining the works.
(14) Upon consent of two-thirds (2/3) of the members of the
board, merge or combine with another district into a single district
on terms so that the surviving district:
(A) is possessed of all rights, franchises, and authority of the
constituent districts; and
(B) is subject to all the liabilities, obligations, and duties of
each of the constituent districts, with all rights of creditors of
the constituent districts being preserved unimpaired.
(15) Provide by agreement with another eligible entity for the
joint construction of works the district is authorized to construct
if the construction is for the district's own benefit and that of the
other entity. For this purpose the cooperating entities may jointly
appropriate land either within or outside their respective borders
if all subsequent proceedings, actions, powers, liabilities, rights,
and duties are those set forth by statute.
(16) Enter into contracts with a person, an eligible entity, the
state, or the United States to provide services to the contracting
party for any of the following:
(A) The distribution or purification of water.
(B) The collection or treatment of sanitary sewage.
(C) The collection, disposal, or recovery of solid waste.
(17) Make provision for, contract for, or sell the district's
byproducts or waste.
(18) Exercise the power of eminent domain, including for
purposes of siting sewer or water utility infrastructure, but
only after the district attempts to use existing public
rights-of-way or easements.
(19) Remove or change the location of a fence, building, railroad,
canal, or other structure or improvement located within or outside
the district. If:
(A) it is not feasible or economical to move the building,
structure, or improvement situated in or upon land acquired;
and
(B) the cost is determined by the board to be less than that of
purchase or condemnation;
the district may acquire land and construct, acquire, or install
buildings, structures, or improvements similar in purpose to be
exchanged for the buildings, structures, or improvements under
contracts entered into between the owner and the district.
(20) Employ consulting engineers, superintendents, managers,
and other engineering, construction, and accounting experts,
attorneys, bond counsel, employees, and agents that are necessary
for the accomplishment of the district's purpose and fix their
compensation.
(21) Procure insurance against loss to the district by reason of
damages to the district's properties, works, or improvements
resulting from fire, theft, accident, or other casualty or because of
the liability of the district for damages to persons or property
occurring in the operations of the district's works and
improvements or the conduct of the district's activities.
(22) Exercise the powers of the district without obtaining the
consent of other eligible entities. However, the district shall:
(A) restore or repair all public or private property damaged in
carrying out the powers of the district and place the property
in the property's original condition as nearly as practicable; or
(B) pay adequate compensation for the property.
(23) Dispose of, by public or private sale or lease, real or personal
property determined by the board to be no longer necessary or
needed for the operation or purposes of the district.
(1) or more of the following apply:
(1) The system refuses to accept sewage at the rate of design
application and interferes with the normal use of plumbing
fixtures.
(2) Effluent discharge exceeds the absorptive capacity of the
soil into which the system discharges, resulting in ponding,
seepage, or other discharge of the effluent to the ground
surface or to surface waters.
(3) Effluent discharged from the system contaminates a
potable water supply, ground water, or surface waters.
(b) Subject to subsection (d) and except as provided in subsection
(e), A property owner is exempt from the requirement to connect to a
district's sewer system and to discontinue use of a septic tank soil
absorption sewage disposal system if the following conditions are met:
(1) The property owner's septic tank soil absorption system was
new at the time of installation and was approved in writing by the
local health department.
(2) The property owner, at the property owner's own expense,
obtains and provides to the district a certification from the local
health department or the department's designee that the septic
tank soil absorption system is functioning satisfactorily. If the
local health department or the department's designee denies the
issuance of a certificate to the property owner, the property owner
may appeal the denial to the board of the local health department.
The decision of the board is final and binding.
(3) The property owner provides the district with:
(A) the written notification of potential qualification for the
exemption described in subsection (g); and
(B) the certification described in subdivision (2);
within the time limits set forth in subsection (g).
(c) If a property owner, within the time allowed under subsection
(g), notifies a district in writing that the property owner qualifies for the
exemption under this section, the district shall, until the property
owner's eligibility for an exemption under this section is determined,
suspend the requirement that the property owner discontinue use of a
septic tank soil absorption system and connect to the district's sewer
system.
(d) A property owner who qualifies for the exemption provided
under this section may not be required to connect to the district's sewer
system for a period of ten (10) years beginning on the date the new
septic tank soil absorption system was installed. If ownership of the
property passes from the owner who qualified for the exemption to
another person during the exemption period, the exemption does not
apply to the subsequent owner of the property.
(e) The district may require a property owner who qualifies for the
exemption under this section to discontinue use of a septic tank soil
absorption system and connect to the district's sewer system if the
district credits the unamortized portion of the original cost of the
property owner's septic tank soil absorption system against the debt
service portion of the customer's monthly bill. The amount that the
district must credit under this subsection is determined in STEP TWO
of the following formula:
STEP ONE: Multiply the original cost of the property owner's
septic tank soil absorption system by a fraction, the numerator of
which is ninety-six (96) months minus the age in months of the
property owner's septic system, and the denominator of which is
ninety-six (96) months.
STEP TWO: Determine the lesser of four thousand eight hundred
dollars ($4,800) or the result of STEP ONE.
The district shall apportion the total credit amount as determined in
STEP TWO against the debt service portion of the property owner's
monthly bill over a period to be determined by the district, but not to
exceed twenty (20) years, or two hundred forty (240) months. if the
sewage disposal system is not failing.
(f) (c) A district that has filed plans with the department to create or
expand a sewage district shall, within ten (10) days after filing the
plans, provide written notice to affected property owners:
(1) that the property owner may be required to discontinue the use
of a septic tank soil absorption sewage disposal system;
(2) that the property owner may qualify for an exemption from the
requirement to discontinue the use of the septic tank soil
absorption sewage disposal system; and
(3) of the procedures to claim an exemption.
(g) (d) To qualify for an exemption under this section, a property
owner must, (1) within sixty (60) twenty (20) days after the date of the
written notice given to the property owner under subsection (f), (c),
notify the district in writing that the property owner qualifies for the
exemption under this section and (2) within sixty (60) days after the
district receives the written notice provided under subdivision (1),
provide the district with the certification required under subsection
(b)(2).
(h) When a property owner who qualifies for an exemption under
this section subsequently discontinues use of the property owner's
septic tank soil absorption system and connects to the district's sewer
system, the property owner may be required to pay only the following
to connect to the sewer system: (1) The connection fee the property
owner would have paid if the property owner connected to the sewer
system on the first date the property owner could have connected to the
sewer system. (2) Any additional costs: (A) considered necessary by;
and (B) supported by documentary evidence provided by; the district.
because the sewage disposal system is not failing or because the
property owner intends to repair or replace the sewage disposal
system, as applicable. Upon receipt of notice under this subsection,
the district shall suspend the requirement to discontinue use of the
sewage disposal system for one hundred eighty (180) days, during
which the property owner shall repair or replace the sewage
disposal system as needed. Before the expiration of the one
hundred eighty (180) days, the property owner shall notify the
district in writing that:
(1) the sewage disposal system has been repaired or replaced,
as applicable, and is not failing; or
(2) the property owner requires additional time to repair or
replace the system.
A district that receives notice under subdivision (2) may grant the
property owner additional time as it determines proper.
(e) A property owner who connects to a district's sewer system
may provide, at the owner's expense, labor, equipment, materials,
or any combination of labor, equipment, and materials from any
source to accomplish the connection to the sewer system, subject to
inspection and approval by the board or a designee of the board.
(f) This section does not prohibit the state department of health,
a local health department, or a county health officer from
proceeding under IC 16-41-20 to declare a dwelling served by a
sewage disposal system a public nuisance and pursuing all
available remedies.
(b)
(1) the rate charged by a board for the metered sewage service may not exceed the rate charged to residential customers for equivalent usage; and
(2) the amount charged by a board for the campground's monthly sewage service for the period beginning September 1 and ending May 31 must be equal to the greater of:
(A) the actual amount that would be charged for the sewage discharged during the month by the campground as measured by the meter; or
(B) the lowest monthly charge paid by the campground for sewage service during the previous period beginning June 1 and ending August 31.
(c) If a campground does not install a meter under subsection (b) and is billed for sewage service at a flat rate,
campground's resident equivalent units multiplied by the rate charged
by the board for a resident unit.
(d) The board may impose additional charges on a campground
under subsections (b) and (c) if the board incurs additional costs that
are caused by any unique factors that apply to providing sewage service
for the campground, including, but not limited to:
(1) the installation of:
(A) oversized pipe; or
(B) any other unique equipment;
necessary to provide sewage service for the campground; and
(2) concentrations of biochemical oxygen demand (BOD) that
exceed federal pollutant standards.
(1) lot;
(2) parcel of land; or
(3) building;
connected
(1) do not attach; and
(b) A health officer, upon
(1) be in writing;
(2) specify the conditions that may transmit disease; and
(3) name the shortest reasonable time for abatement.
(c) If a person refuses or neglects to obey an order issued under this section, the attorney representing the county of the health jurisdiction where the offense occurs shall, upon receiving the information from the health officer, institute proceedings in the courts for enforcement. An order may be enforced by injunction. If the action concerning public health is a criminal offense, a law enforcement authority with jurisdiction over the place where the offense occurred shall be notified.
(d) A complaint made under subsection (b) must include the following information:
(1) The name, address, and telephone number of the person making the complaint.
(2) Adequate details to allow the health officer to verify the existence of the unlawful conditions that are the subject of the complaint.
A health officer must provide a copy of a complaint upon request to the person who is the subject of the complaint.
(e) A person who knowingly or intentionally provides false information upon which a health officer relies in issuing an order under this section commits a Class B misdemeanor.
sanitation standards for unincorporated areas of the county. These
standards take effect only on the legislative body's receipt of written
approval from the fire prevention and building safety commission.
(b) An ordinance adopted under this section must be based on
occupancy, and it applies to:
(1) the construction, alteration, equipment, use, occupancy,
location, and maintenance of buildings, structures, and
appurtenances that are on land or over water and are:
(A) erected after the ordinance takes effect; and
(B) if expressly provided by the ordinance, existing when the
ordinance takes effect;
(2) conversions of buildings and structures, or parts of them, from
one (1) occupancy classification to another; and
(3) the movement or demolition of buildings, structures, and
equipment for the operation of buildings and structures.
(c) The rules of the fire prevention and building safety commission
are the minimum standards upon which ordinances adopted under this
section must be based.
(d) An ordinance adopted under this section does not apply to
private homes that are built by individuals and used for their own
occupancy, including the following systems appurtenant to the
homes:
(1) Air conditioning.
(2) Ventilation.
(3) Heating.
(4) Energy for residential use only.
(5) Plumbing.
(6) Sanitation, including sewage disposal in any form.
